By Adria Calatayud
Shares in U.K. online retailer of building materials CMO Group PLC rose Thursday as they began trading on London’s junior AIM market after an initial public offering that gave the company a valuation of 95 million pounds ($131.1 million).
The company said it raised GBP27.3 million through a placing of shares at 132 pence each, while existing shareholders sold shares worth GBP17.7 million as part of CMO’s listing.
Shares in CMO at 0731 GMT were trading at 161.50, or 22% higher than its IPO price.
The company said proceeds from the fundraising together with its existing cash resources will allow it to pursue strategic opportunities–both organically and through acquisitions–, to reduce debt and restructure its balance sheet.
Liberum Capital Ltd. is acting as nominated adviser and sole bookrunner in relation to CMO’s admission, while GCA Altium is acting as financial adviser, the company said.
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